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EPFO asks field offices to verify PF claims of foreign workers

The organisation has found that field offices are settling claims of such members before their retirement

Press Trust of India New Delhi
Last Updated : May 14 2014 | 4:40 PM IST
In a bid to ensure that norms are adhered to while settling PF claims of foreign workers from countries with which India does not have social security pacts, retirement fund body EPFO has asked its field staff to get those claims verified from the head office.

The Employees' Provident Fund Organisation has found that field offices are settling claims of such members before their retirement.

"...Get all cases of settlement of PF claims of international workers verified and forward a report to this office for perusal of the Central Provident Fund Commissioner," said an EPFO office circular for its over 120 field offices.

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Non-SSA countries are those with whom India has not entered into social security agreements. People from these countries working here have to contribute towards social security schemes run by EPFO.

As per the provision related to international workers from Non-SSA countries, the PF accumulations are payable on retirement from service after attaining 58 years of age or on retirement on account of permanent or total incapacity for work, as duly certified by the medical officer.

"...Contrary to these provisions, the PF accumulation in respect of international workers from Non-SSA countries is being settled before attaining the age of 58 years of age," the circular said.

The international workers as well as their employers are required to contribute towards the schemes run by the EPFO.

If the native countries of international workers have signed social security agreements with India, they are not required to contribute towards social security schemes run by EPFO.

For availing this benefit, these workers are required to produce certificate of coverage, showing that they are covered under social security schemes under a statutory authority like EPFO in their respective countries.

At present, social security agreements are operational with nine countries -- Belgium, Germany, Switzerland, Denmark, Luxembourg, France, South Korea, Netherlands and Hungary.

Last month EPFO asked field offices to coordinate with the Foreigner Regional Registration Offices (FRRO) located in their areas and collect a complete list of all foreign nationals.

All foreign nationals visiting India on valid visas for more than 180 days are required to be registered with FRRO within 14 days of their arrival.

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First Published: May 14 2014 | 4:22 PM IST

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